A Five-Year Bond with a $1,000 Face Value Has a Yield

question 50

Multiple Choice

A five-year bond with a $1,000 face value has a yield to maturity is 5.0% and it's coupon rate is 6.0% paid annually. The dirty price of this bond exactly 6 months after its second coupon payment is closest to ________.

• A) $1087.23
• B) $1147.23
• C) $1027.23
• D) $1057.23

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